American International Group (AIG)

The responsibility for sustainability within AIG lies with the Nominating and Coporate Governance Committee within its board of directors. The financial institution discloses a list of trade associations of which it is a member including sustainability- and non-sustainability-related organisations.

American International Group has set a target of net-zero financed emissions by 2050. American International Group has purchased a total of USD 3.2 billion invested in renewable energy projects and clean energy projects as well as USD 1.2 billion purchase of green bonds for climate-related or environmental projects as of 2020.

AIG has a publicly available policy statement committing it to respect human rights. Furthermore, the financial institution discloses the proportion of women in its total direct operations workforce for each employee category as well as the proportion of its total direct operations workforce for each employee category by race or ethnicity.

The financial institution has a grievance mechanism accessible to all workers, external individuals and communities to raise human rights complaints or concerns. The financial institution has a publicly available policy statement in which it commits to respecting the health and safety of workers. The financial institution has a policy prohibiting bribery and corruption. The financial institution has a grievance mechanism for stakeholders to raise concerns and complaints regarding bribery and corruption.

AIG has a publicly available policy statement committing it to respect the ILO core labour rights. The financial institution discloses a public commitment to protect personal data. In a public policy statement, AIG discloses its approach to lobbying and political engagement.

While AIG links the remuneration of its executive team to diversity and inclusion performance criteria, it could further extend the remuneration to sustainability-related performance criteria. The company has an opportunity to commit to gender equality and women’s empowerment as well as disclose how it is addressing the gender pay gap. Moreover, women are underrepresented on the board of directors where only three out of 12 board members are women. There is no evidence that the financial institution describes its engagement approach on sustainability themes and impact topics with clients and investees.

The financial institution could disclose interim emissions reduction targets at the group level, such as a 45% reduction in financed emissions by 2030. No evidence was found that the financial institution engages with its clients on the topic of climate change, specifically on the alignment with the Paris Agreement. Therefore, it has an opportunity to disclose the key sectors and companies it has identified as priorities to engage with on climate change. AIG could align renewable and clean energy projects as well as its green bonds with internationally recognised frameworks. There is no evidence that the financial institution discloses time-bound targets explicitly for its climate solutions. Regarding nature and biodiversity, no evidence was found that the financial institution is committed to minimising its negative impacts or financing regenerative solutions.

AIG has an opportunity to describe a comprehensive process for identifying its human rights risks and impacts across all its activities, especially its financing activities. The financial institution has an opportunity to disclose the proportion of its total direct operations workforce for each employee category by age group. To provide transparency on financial inclusivity, the financial institution has an opportunity to disclose the amount of finance directed towards, for example, women-owned businesses, small- and medium-sized enterprises (SMEs) or low-income developing countries.